Restoration Hardware shares are up better than 13% after the company last night reported better than expected earnings and raised its fiscal year expectations.

On the economic data front, retail sales for May grew 0.3% month-over-month, which was below expectations for a 0.6% rise. Sales for April got a huge upward revision, to 0.5% from a prior reading of 0.1%.

Weekly jobless claims hit 317,000 last week, more than the 310,000 that was expected by economists. Continuing claims also rose more than expected, hitting 2,614,000 against expectations for 2,605,000.

Business inventories in April grew 0.6%, topping expectations for a 0.4% increase. Following the report, Cooper Howes at Barclays said the report shows that U.S. GDP should grow 3% in the second quarter.

Crude oil is rallying, as the situation in Iraq has come into focus for more in the market and the media.